FAQ

Please consult the following FAQs to learn more about CIRS, our plans, services, and retirement in general. If you have a question that isn’t answered here, or just need a little more guidance, please contact us!

General Information

What is CIRS and what benefits do I have as a Member?

The Cultural Institutions Retirement System (CIRS) was organized in 1962 to provide retirement and life insurance benefits for eligible employees of employers who choose to participate in the benefit plans.

As an Eligible Employee, you have access to three plans: The Cultural Institutions Pension Plan (CIRS Pension Plan), The Cultural Institutions Savings Plan (CIRS 401k Savings Plan), and The Cultural Institutions Group Life and Welfare Benefits Plan (CIRS Group Life Plan).

All three Plans are portable. In other words, if you change jobs, your membership in the Plans will continue – as long as your new employer is a CIRS Participating Employer and you continue to be an Eligible Employee–note that not all CIRS Participating Employers participate in all three plans.

What is a CIRS Participating Employer?

A CIRS Participating Employer means any Cultural Institution or Day Care Sponsoring Board who has adopted the CIRS plans. For more information on who are the CIRS Participating Employers, click here.

When do I become a Member?

You become an official Member of the plans when you have satisfied the applicable Membership requirements.

For the CIRS 401(k) Savings Plan and CIRS Group Life Plan:

If you are an Eligible Employee, will become a Member of both Plans on the first day of the month on or after the later of:

your 21st birthday; or

the date you complete three months of Employment Service

For the CIRS Pension Plan:

If you are an Eligible Employee, will become a Member of the Plan on is the first day of the month on or after the later of:

your 21st birthday; or

the date you complete one year of Employment Service

Tier I Members of the Pension Plan are generally employees that were hired initially prior to October 1, 2016. Employees will remain Tier I Members unless they terminate employment before completing 5 years of Employment Service, incur a 5-year break in service and are rehired on or after October 1, 2016.
Tier II Members of the Pension Plan are generally employees that were hired on or after October 1, 2016.

As a general rule, if you transfer your employment from one CIRS Participating Employer directly to another, your Membership in the Plans continues without interruption.

How do I enroll in the plans?

When you are hired at a CIRS Participating Employer, your employer will automatically enroll you. You will receive at CIRS 401(k) Savings Plan enrollment kit and a PIN number from Voya at your home address. The enrollment kit will include information about the plans and a Beneficiary Designation Form. This form should be completed as soon as possible and returned to the CIRS Service Center. You can also sign into your account at Voya and enter your beneficiary information online.

A separate enrollment kit will be mailed to you once you become a member in the Pension Plan.

Who is an Eligible Employee?

In general, you are an Eligible Employee if you are an employee of a CIRS Participating Employer who receives a stated annual salary and are regularly scheduled to work at least 15 hours per week. Note that certain employers may include employees paid on an hourly basis. Any questions about whether you are eligible should be referred to your employer.

What is Employment Service?

Employment Service is the period of your employment from your date of hire as an employee of a CIRS Participating Employer until your termination date. This does not include any service prior to age 18 but does include any service with a CIRS Participating Employer while you were not considered an Eligible Employee (i.e. Sub, Hourly, part-time, etc.).

Employment Service is measured in years and months with a full month of service credit given in your month of hire and month of your Severance from Service Date.

What is Benefit Service?

Benefit Service includes all Employment Service credited to you after you become a Member in the Pension Plan. Benefit Service is a term that only applies to the Pension Plan. For Tier I Members, Benefit Service also includes the one year waiting period for Membership. Benefit Service for Tier II Members will not include this one year waiting period. Benefit Service will not include any service prior to age 21 nor will it include any service while you were not considered an Eligible Employee. Benefit Service is used to determine your monthly benefit under the Pension Plan and your eligibility for the Rule of 85 Retirement.

When is my Severance from Service Date?

Severance from Service Date is the earlier of:

the date you terminate employment, retire or die; or

the date your layoff or leave of absence ends, if the layoff or leave of absence lasts less than one year and you do not return to work at such time; or

12 months after the date you leave, if you leave employment for any other reason.

What is Base Salary?

What is a Beneficiary?

A (primary) beneficiary is the person or persons you want to receive your survivor benefits in the event of your death. You can have more than one primary beneficiary.

A contingent beneficiary is the person or persons you choose to receive your applicable survivor benefits in the event that all your primary beneficiaries are deceased at the time of your death.

Who can be my Beneficiary?

You can elect anyone to be your beneficiary, and can have multiple beneficiaries if you choose. However, if you are married and you would like your beneficiary for the CIRS 401(k) Savings Plan or the CIRS Pension Plan to be someone other than your spouse, your spouse will need to fill out a waiver. This waiver will be included with the beneficiary form. A spousal waiver is not applicable for the CIRS Group Life Plan.

How can I elect a Beneficiary or make a change to my Beneficiary election?

For the CIRS 401(k) Savings Plan, beneficiary elections must be made through Voya (cirs.voya.com or call 1-866-719-2477).

The beneficiary elections made for the CIRS 401(k) Savings Plan will be used for the CIRS Group Life Plan.

If you want to choose a different beneficiary for the CIRS Group Life Plan, there is a separate form you must complete. You can click here to print out this form or contact CIRS at 212-674-0101 to request a copy.

You should renew your beneﬁciary elections for all plans, even if you have previously made elections, to ensure that CIRS has current information in our files.

What is the Form 1099-R?

The 1099-R is a tax form used for reporting retirement plan distributions. If you received a distribution of $10 or more from the CIRS 401(k) Savings Plan or the CIRS Pension Plan, you will be sent a 1099R by the end of January of the following year. For more information, click here.

CIRS Pension Plan - General Questions

What is the CIRS Pension Plan?

The CIRS Pension Plan is a “deﬁned beneﬁt” plan designed to provide you with monthly pension benefit, typically payable over your lifetime, or yours and your surviving spouse’s (or other beneﬁciary’s) lifetimes.

What is Vesting?

Vesting means that you are entitled to receive your plan beneﬁt at a future date, even if you stop working for a CIRS Participating Employer before your normal or early retirement date. You become vested in your Pension benefit after completing 5 years of Employment Service.

You are automatically vested in any contributions you make to the CIRS 401(k) Savings Plan or the CIRS Pension Plan (as applicable).

What is a Break in Service?

A “Break in Service” means any interruption of your service lasting 12-consecutive months or more. In the event you have a Break in Service, special rules apply. If you terminate and are rehired before 12 months have elapsed, you will not have incurred a Break in Service and your entire period of absence is counted as both Employment Service and Beneﬁt Service.

If you return to work after a Break in Service, your earlier Employment Service and Beneﬁt Service are restored if you were vested when you terminated your employment (i.e., had already been credited with ﬁve or more years of Employment Service). However, if you received a lump sum payment of your beneﬁts, your Beneﬁt Service prior to your Break in Service will not be restored. If you were not vested when you terminated, all Beneﬁt Service and Employment Service is restored only if the period of the Break in Service is less than ﬁve years. Special rules regarding Benefit Service apply to Tier II Members who received a refund of their employee contributions.

What is Normal Retirement?

Normal Retirement is the earliest date you can retire with your full benefit. This date is different for Tier I and Tier II Members.

When is Early Retirement?

You can elect Early Retirement on the first day of any month after you reach age 52, but prior to the date you reach your Normal Retirement Age, if you have completed at least five years of Employment Service. However, if you chose to retire early, you will receive a reduced benefit.

What is Rule of 85 Retirement?

If you qualify for Rule of 85 Retirement, you can retire early and still receive your full pension benefit.

To be eligible, you must terminate employment at a CIRS Participating Employer on or after age 55, and your age plus your years of Benefit Service must equal to or exceed 85 (i.e. age 55 plus 30 years, age 56 plus 29 years, etc.).

Can I retire early if I am disabled?

Yes. If you are permanently and totally disabled, have completed 10 years of Employment Service, are approved by the U.S. Social Security Administration, and were actively employed at time of your disability, then you can apply for an unreduced Disability Retirement beneﬁt.

How can I get an estimate of my monthly pension benefit?

You can request an estimate of your monthly pension benefit at any time from Transamerica by visiting the Plan’s Web site cirs.trsretire.com. You can print the estimate directly on the site or request that an estimate be mailed to you. You will be asked to provide your last expected day on payroll and your spouse’s or beneficiary’s date of birth as applicable.

Alternatively, you can call Transamerica at 1-888-976-8196, Monday through Friday, from 8am to 8pm.

What are my payment options?

Single Life Annuity — Under this form of payment, you receive your full monthly benefit for life. No monthly benefits are paid after your death. This is the standard (automatic) form of payment if you are single when your benefit payments begin unless you elect another form of payment. It is an optional form of payment if you are married.

Joint and Survivor Annuity — Under this form of payment, you receive a reduced monthly benefit for your lifetime and, after your death, your beneficiary receives a percentage — either 50%, 75%, or 100% — of your reduced benefit for their lifetime. The amount of the reduction depends on the ages of you and your beneficiary and the survivor percentage you elect. The younger your beneficiary is in comparison to you, the greater the reduction. Also, the higher the survivor percentage elected, the more your lifetime monthly benefit is reduced. If your beneficiary dies before you, your monthly benefit amount will remain the same. You cannot change to another form of payment due to your beneficiary’s death nor can you change or add a beneficiary after payments commence.

A 50% Joint and Survivor Annuity is the standard (automatic) form of payment if you are married when your benefits begin unless you elect another form of payment with written, notarized spousal consent. However, in the event you elect a 75% or 100% Joint and Survivor Annuity with your spouse as beneficiary, your spouse’s consent is not required. A 50% Joint and Survivor Annuity is an optional form of payment if you are single.

Joint and Survivor Annuity with “Pop-Up” Feature — Under this form of payment, you receive a reduced monthly benefit for your lifetime and, after your death, your beneficiary receives a percentage — either 50%, 75%, or 100% (based on your election)— of your reduced benefit for their lifetime – just like the Joint and Survivor Annuity. However, if your beneficiary dies before you, due to the “popup” feature, the amount of your monthly benefit payments will be increased to the amount you would have received under the unreduced Single Life Annuity option. Similar to the Joint and Survivor Annuity, the amount of the reduction depends on the ages of you and your beneficiary and the percentage of your benefit payable to your beneficiary. Since your benefit will increase (“pop-up”) if your beneficiary dies before you, the amount of the reduction is higher than under the normal Joint and Survivor Annuity.

Certain and Life Annuity — Under this form of payment, you receive a reduced monthly benefit for life, guaranteed for the first 5, 10 or 15 years. The amount of the reduction depends on your age and the guaranteed term you select. You will continue to receive this benefit for your lifetime if you live beyond the guaranteed period. If your beneficiary dies before you, the amount of your monthly benefit will remain unchanged. If your beneficiary dies before the guaranteed period is over, you may name a new beneficiary. If you die during the guaranteed period, monthly payments will continue to your beneficiary for the rest of the guaranteed period, stopping when that period is over. If you die after the guaranteed period is over, no additional monthly annuity benefit will be paid to your beneficiary. The amount of the reduction depends upon your age.

Level Income Annuity —Under this form of payment, you will receive a Single Life Annuity with a higher monthly benefit until you reach age 62, when you become eligible for reduced Social Security payments. Your monthly benefit will be reduced after that. Therefore, your monthly benefit, when combined with an estimate of your Social Security benefit, will provide you with (as nearly as possible) a level amount of income throughout your lifetime. Take note: this option is only available if you retire early (Early Retirement or Special Rule of 85) and is not available under Disability Retirement or if you terminated employment before becoming eligible for Early Retirement. There is no survivor annuity benefit under this option. It is possible that by electing to increase the benefit payable to you before age 62, there may be little or no benefit payable to you at age 62 and beyond. In this case, your remaining benefit (if any), as well as the Post–Retirement Lump Sum Death Benefit, may be payable to you at age 62 on an actuarially adjusted basis.

Lump Sum Payment — If the actuarial value of your vested benefit is less than $20,000, you may elect to receive a lump sum payment instead of a monthly annuity. If you are married, and the value of your benefit is greater than $5,000, your spouse must provide written, notarized consent to this election. If you are eligible to receive a Disability Retirement Beneﬁt, you cannot elect this method of payment.

Example of Payment Options

If we assume you are a Tier I Member and your monthly Normal Retirement Benefit is $1,000, you elect a beneficiary that is not your spouse and both you and your beneficiary are age 62, the following chart shows how much each of you would collect under the various payment options.

[1] Payments to your beneficiary will commence only if your death occurs before the certain term expires. Payments to your beneficiary will cease once the total number of payments made to both you and your beneficiary reaches the certain term.
[2] The amount of your monthly benefit payments will be increased to $1,000 if your beneficiary dies before you.

Are taxes withheld from my pension benefit?

Your monthly pension benefit is considered taxable income. When you complete your retirement kit, you can decide how much you would like withheld towards state and federal tax. This can be changed in the future after you begin receiving payments.

When do I have to decide my payment option?

You should submit your payment election within 180 days before your payments are scheduled to begin to ensure benefits can commence timely. Once you begin receiving payments, you are not allowed to change your payment option.

How can I apply for my pension benefit?

When you are ready to retire, you can request your retirement package by signing in to your Transamerica account cirs.trsretire.com and requesting it be mailed to you. Alternatively, you can call Transamerica at 1-888-976-8196, Monday through Friday, from 8am to 8pm EST, and request that a retirement kit be mailed to you.

The retirement kit includes information about the amount of your benefit under each of the available forms of payment. When you request this information, you will be asked to provide your last day on payroll and your spouse’s or beneficiary’s date of birth as applicable.

I'm already retired. Who do I contact if I have questions?

If you are already receiving payments and wish to update your information, you can do so at anytime on the website by signing in to cirs.trsretire.com or contacting Transamerica at 1-888-976-8196, Monday through Friday, from 8am to 8pm EST.

You can reach out to Transamerica to do any of the following tasks:

Obtain an explanation of the check received, including federal and state taxes, and other deductions, begin and end dates of current and future deductions

Verify primary and banking address information and/or request change of address (address changes should be sent in writing)

I’ve submitted my retirement kit. How do I check the status?

If you have already submitted your kit, you can check the status anytime on the website by signing in to cirs.trsretire.com or contacting Transamerica at 1-888-976-8196, Monday through Friday, from 8am to 8pm EST.

What happens if I die before I retire?

If you are vested in the plan, your beneﬁciary(ies) will receive a 50% survivor benefit. Your survivor(s) will receive this for the remainder of their lifetime.

If you are not actively employed by a Participating Employer when you die, the survivor beneﬁt is reduced for early payment.

If you are a non-vested Tier II Member, your beneﬁciary(ies) will receive a refund of your employee contributions.

If I am currently retired and then die, what benefits are available to my Beneficiaries?

If you are retired and you die, your beneﬁciary would receive the Post-retirement Lump Sum Death beneﬁt (if eligible) and any payments related your selected pension payment option.

For Tier II Members, if at the time of your beneficiary’s death (or yours if no benefits are payable to a beneficiary), the total monthly benefits that were paid to you and your beneficiary does not exceed the value of your employee contributions, then the remainder of your employee contributions will be paid to your contingent beneficiaries (or estate).

What is the Post-retirement Lump Sum Death Benefit?

If you terminate employment at a participating employer while eligible for any retirement benefit (i.e. Early, Normal, Disability), you qualify for a lump sum death benefit. This payment will be made to your beneficiary and is equal to 25% of your annual benefit, with a minimum amount of $2,500 and a maximum amount of $5,000.

Pension - Tier I Members Only

Who is considered a Tier I Member?

Tier I Members are generally those employees hired prior to October 1, 2016. Special rules apply to rehired employees.

What is my Normal Retirement Date?

Your Normal Retirement Date is the first day of the month that falls on or follows the date you reach age 62 and have completed at least 5 years of Employment Service.

How is my Monthly Pension Benefit calculated?

Your monthly pension benefit is calculated using the following formula:

2.0% x years and months of Benefit Service since 1990 x 4-Year Final Average Salary = Annual Pension Benefit

Your annual pension benefit is then divided by 12 to arrive at your monthly pension benefit. Your Final Average Salary is based on the highest four consecutive July 1 Base Salaries during your last ten years of Benefit Service.

If you have earned Benefit Service prior to January 1, 1990, there is a different formula. Please contact CIRS for further information.

What do I contribute to the Pension Plan?

Tier I Members are not permitted to make contributions to the Pension Plan. The entire cost of your pension beneﬁt is paid by your employer.

Pension - Tier II Members Only

Who is considered a Tier II Member?

Tier II Members are generally employees hired on or after October 1, 2016. Special rules apply to rehired employees.

What is my Normal Retirement Date?

Your Normal Retirement Date is the first day of the month that falls on or follows the date you reach age 64 and have completed at least 5 years of Employment Service.

How is my Monthly Pension Benefit calculated?

The monthly pension benefit is calculated using the following formula:

1.4% x years and months of Benefit Service x 4-Year Final Average Salary = Annual Pension Benefit

Your annual pension benefit is then divided by 12 to arrive at your monthly pension benefit. Your Final Average Salary is based on the highest four consecutive July 1 base salaries during your last ten years of Benefit Service.

What do I have to contribute to the Pension Plan?

Once you become a Member in the Plan, your employer will automatically withhold mandatory after-tax contributions from your paycheck based on the table below:

For each Payroll Period, if your Annualized Base Salary Is

Contribution Percentage

$70,000.00 or less

2.0%

$70,000.01 to $100,000.00

2.5%

$100,000.01 or more

3.0%*

* Note that your employer will not withhold contributions on Base Salary in excess of the IRS limit.

Can I contribute an amount that is different than my required employee contribution?

No, you can only contribute the required amount determined by your Annualized Base Salary. Please refer to the previous question to see what your contribution percentage is.

Am I required to make mandatory employee contributions while on a Leave of Absence?

If you are on a paid leave, then mandatory employee contributions must continue to be made. You will not be required to make any employee contributions during any unpaid leave nor will you be required to make up the missed contributions if you return to work.

Can I receive a refund of my mandatory employee contributions?

If you terminate employment before becoming vested in your Pension benefit (i.e. completing at least 5 years of Employment Service), you will be eligible to receive a refund of your employee contributions, plus interest as speciﬁed by the IRS. The refund will not be available until a period of 6 months after your Severance from Service Date has elapsed.

How will I receive my refund?

If the amount of your refund is less then $5,000, then you can receive your refund as a lump sum payment or a rollover to an IRA.

If the value of your refund is greater than $5,000, then you have additional options for receiving your refund as an annuity. If you are married, spousal consent is required if you do not elect a 50% Joint and Survivor Annuity as a payment option.

If I am rehired and received a refund of my mandatory employee contributions, will I be required to repay my refund?

No, you are not required to repay your refund. However, you may have the option to repay in order to restore your Benefit Service.

If you have not incurred a 5-Year Break in Service, you will be given the option to repay your refund, plus interest as specified by the Internal Revenue Service. Prior Benefit Service will be restored if a refund is repaid. If a refund is not repaid, all prior Benefit Service will be forfeited but any prior Employment Service will be retained.

If you have incurred a 5-Year Break in Service, you will not be given the option to repay your refund and you will have permanently forfeited all prior Benefit and Employment Service.

CIRS 401(k) Savings Plan

What is the CIRS 401(k) Savings Plan?

The CIRS 401(k) Savings Plan is designed to help you supplement your retirement income. It allows you to contribute a percentage of each paycheck on a before-tax or after-tax basis, for as long as you remain an Eligible Employee. Your contributions are invested in the funds that you select.

You pay no current income taxes on before-tax contributions to the CIRS 401(k) Savings Plan and the earnings on your investments, so you save on taxes today as well as preparing for your future needs.

How much can I contribute to the Plan?

You can choose to contribute up to 50% of your annual Base Salary on a before-tax basis through automatic payroll deduction. If you reach the IRS maximum for the year, your contribution will be capped.

The Savings Plan also permits you to make After-Tax Contributions of up to 22% of your annual Salary, subject to other Savings Plan and government limits.

What is the IRS maximum contribution amount?

Each year, the IRS sets annual dollar limits on the amount you can contribute to a 401(k) plan. Additionally, if you are over the age of 50 you can make additional “catch-up” contribution.

The table below illustrates the IRS contribution limits for the last four years.

Contribution limits

Year

401(k) Limit

Catch-up

2018

$18,500

$6,000

2017

$18,000

$6,000

2016

$18,000

$6,000

2015

$18,000

$6,000

How can I change my contribution percentage?

You can change the percentage amount that you contribute at anytime by visiting cirs.voya.com or calling the CIRS Service Center at 1-866-719-2477 . You should confirm with your payroll office or bookkeeper to ensure any requested changes are made.

Can I make any other contributions to the Plan?

Contributions can only be made through automatic payroll deductions. As such, you cannot deposit your own money into a 401(k). However, you can rollover money from your previous employer’s 401(k) or 403(b) Plan, a governmental 457(b) Plan or an IRA that consists of a prior rollover.

How do I rollover money from my previous employer’s 401(k) plan?

You would need to contact the CIRS Service Center at 1-866-719-2477 and let them know you want to do a rollover into the plan. They will provide you with the necessary form.

How can I check my CIRS 401(k) Savings Plan account balance?

CIRS has partnered with Voya to provide you with a complete line of services that allow you to manage and keep track of your CIRS 401(k) Savings Plan account. These services include a full range of investments, access to the Voya Advisor Service and phone and internet access to your accounts. You can access your information by visiting cirs.voya.com or calling the CIRS Service Center at 1-866-719-2477. You will also receive quarterly statements mailed to your home.

What are my investment options?

There are 7 core funds available:

Stable Value Fund (default fund)

Bond Market Index Fund

S&P 500 Index Fund

S&P 400 Index Fund

Russell 2000 Index Fund

International EAFE Index Fund

Emerging Markets Index Fund

Effective December 2, 2017, target date funds are also available.

In addition, you have the option to open a brokerage account at TD Ameritrade where you can invest in thousands of mutual funds and hundreds of Exchange Traded Funds (ETFs).

How should I invest my money?

If you need investment advice, you should sign in to your account at cirs.voya.com or call the CIRS Service Center at 1-866-719-2477 . Voya has licensed representatives ready to assist you.

Is there a fee to get investment advice?

Receiving ﬁnancial advice is a service that is provided at no cost to you.

However, Voya also provides the option of enrolling in their Professional Management Service, which provides professional investment advice and actively makes changes to your account based on your ﬁnancial goals. The fee for this service is based on the size of your account balance and will not exceed 50 bps (0.50%) of your account balance.

Can I borrow money from my CIRS 401(k) Savings Plan account?

No, the CIRS 401(k) Savings Plan does not allow for loans.

When can I receive a distribution from my account?

The CIRS 401(k) Savings Plan does not allow for distributions while you are still employed by a CIRS Participating Employer. However, once you terminate your employment for any reason, you are allowed to withdraw all or a portion of your money.

Note that, if you rolled money from a previous employer, this money can be withdrawn at any time, including while you are still employed.

How can I receive a distribution from my account?

If your CIRS 401(k) Savings Plan account balance is $1,000 or less, you will automatically receive payment in a lump sum. You may elect to roll over your account balance to an Individual Retirement Account (“IRA”) or to your new employer’s qualified plan.

If your account balance is greater than $1,000 and less than or equal to $5,000, you can:

leave the money in the Savings Plan; or

request payment in a lump sum; or

rollover the balance into an IRA or another employer’s qualified plan.

CIRS Group Life Insurance

What is the CIRS Group Life Plan?

The CIRS Group Life plan provides life insurance protection for your beneficiary (or beneficiaries) while you’re employed by a CIRS Participating Employer. Your coverage is guaranteed regardless of your age or medical history.

How much coverage do I have?

Upon your death, your beneficiary will receive 100% of your annual salary if you have less than 10 years of service. If you have 10 or more years of service, your beneficiary will receive 200% of your annual salary. Maximum coverage is $500,000. Once you reach the age of 70, your coverage will be reduced. There is also additional coverage for Accidental Death and Dismemberment.

Can I claim benefits for myself if I am terminally ill?

Yes. If you have a life expectancy of less than twelve months, the CIRS Group Life Plan may provide payment of up to 75% of your life insurance coverage. You must apply for this benefit. Payment of this benefit will be tax-free to you if you meet certain requirements. However, the payment of this benefit will reduce any life insurance benefits payable to your Beneficiary upon your death. Conditions for using this living benefits provision will be described in full by the insurance company at the time a claim for benefits is filed.

What happens to my coverage after I terminate employment under a CIRS Participating Employer?

Upon termination of employment, you will have the option to convert the policy and continue to pay the premiums yourself. Coverage ends automatically if you do not convert your policy.

The Cultural Institutions Retirement System (CIRS)Proudly providing retirement benefits to employees of participating cultural institutions and child care centers for over 50 years.